My parents (early 80s) just informed us kids (3 of us) that they are preparing to put their home up for sale. It is in the Pittsburgh suburbs (great neighborhood) and is a perfect 3 br starter home. They are absolutely only thinking of selling this conventially and renting a small apartment. Health is failing… House will sell today for 129,900 - there is no mortgage.
I think there will be an increase in home buyers looking to lease option purchase as they find more and more difficulty finding conventional mortgages…
So my question would be “Is the following worth doing?”
- Have them gift the home to a trust with the 3 children as trustees
- Lease option the home
- Put rents/sale proceeds into trust
- The trust would then be available to pay any unexpected care costs
- Disburse remaining funds through the probate process
Any other options to maximize inheritance??